Released April 12, 2023 | SUGAR LAND
en
Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--Not only for Colorado, which could see its debut installation, but for the world, geothermal energy may be the missing part of the energy transition puzzle, a developer said.
Geothermal Technologies Incorporate (GTI) (Baltimore, Maryland) said it secured the necessary permits from the Division of Water Resources in Colorado to drill wells to test the potential for geothermal energy in the Denver-Julesburg Basin.
Research from the University of Michigan finds most of the western U.S. states are ripe for geothermal energy. California, Nevada and Utah have the most installed capacity, though Colorado boasts geothermal temperatures as high as 300 degrees Fahrenheit at six feet below the surface, showing the potential is there.
The company estimates that Denver-Julesburg could yield more than 5 gigawatts (GW) of geothermal energy.
"We plan to begin by constructing a small 5-megawatt power plant in the D-J basin and then scale from there," GTI's President and Chief Operating Officer Jim Hollis said.
If installed, GTI would be breaking ground on the state's first-ever utility-scale power plant that uses geothermal energy. Colorado accounts for 4% of the nation's total crude oil and natural gas production, though levels are typically volatile and price-dependent.
Those prices forced state power companies to turn to coal as a premium from the war in Ukraine made natural gas expensive. Coal accounts for about 40% of the state's total power generation and the share of natural gas on the grid declined in 2021 -- before the outbreak of war in Ukraine -- for the first time in five years, according to the U.S. Energy Information Administration.
Nevertheless, slightly more than 1 GW of coal-fired power is on schedule to retire by 2025. Still, most of the state's emissions come from fossil fuels, coal-fired plants and the transportation sector. Like most states, Colorado has aggressive net-zero ambitions and recently saw the installation of its first direct-air capture facility (DAC), a demonstration facility, but GTI says the state can do more.
"Geothermal power has been a missing piece of the renewable power puzzle in Colorado, and elsewhere around the world," the company said. "Developing this resource will provide a major advantage to Colorado as it strives to reach its goals of 100% renewable energy by 2040."
In February, the U.S. Energy Department put up to $74 million in funding from last year's infrastructure bill on the table for seven pilot projects for enhanced geothermal energy systems. Other federal initiatives are designed to help lower the cost of geothermal by 90% by 2035.
Heat is ample underground, though only a handful of states have hot temperatures relatively close to the surface. Enhanced methods could increase that access, with the government touting geothermal resources as a clean, cost-effective way to reach net-zero emissions by 2050.
While GTI's installation could be a first for Colorado, the United States is already the world leader in the production of geothermal energy, with plants in seven states producing the equivalent of 0.4% of total utility-scale electricity.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Geothermal Technologies Incorporate (GTI) (Baltimore, Maryland) said it secured the necessary permits from the Division of Water Resources in Colorado to drill wells to test the potential for geothermal energy in the Denver-Julesburg Basin.
Research from the University of Michigan finds most of the western U.S. states are ripe for geothermal energy. California, Nevada and Utah have the most installed capacity, though Colorado boasts geothermal temperatures as high as 300 degrees Fahrenheit at six feet below the surface, showing the potential is there.
The company estimates that Denver-Julesburg could yield more than 5 gigawatts (GW) of geothermal energy.
"We plan to begin by constructing a small 5-megawatt power plant in the D-J basin and then scale from there," GTI's President and Chief Operating Officer Jim Hollis said.
If installed, GTI would be breaking ground on the state's first-ever utility-scale power plant that uses geothermal energy. Colorado accounts for 4% of the nation's total crude oil and natural gas production, though levels are typically volatile and price-dependent.
Those prices forced state power companies to turn to coal as a premium from the war in Ukraine made natural gas expensive. Coal accounts for about 40% of the state's total power generation and the share of natural gas on the grid declined in 2021 -- before the outbreak of war in Ukraine -- for the first time in five years, according to the U.S. Energy Information Administration.
Nevertheless, slightly more than 1 GW of coal-fired power is on schedule to retire by 2025. Still, most of the state's emissions come from fossil fuels, coal-fired plants and the transportation sector. Like most states, Colorado has aggressive net-zero ambitions and recently saw the installation of its first direct-air capture facility (DAC), a demonstration facility, but GTI says the state can do more.
"Geothermal power has been a missing piece of the renewable power puzzle in Colorado, and elsewhere around the world," the company said. "Developing this resource will provide a major advantage to Colorado as it strives to reach its goals of 100% renewable energy by 2040."
In February, the U.S. Energy Department put up to $74 million in funding from last year's infrastructure bill on the table for seven pilot projects for enhanced geothermal energy systems. Other federal initiatives are designed to help lower the cost of geothermal by 90% by 2035.
Heat is ample underground, though only a handful of states have hot temperatures relatively close to the surface. Enhanced methods could increase that access, with the government touting geothermal resources as a clean, cost-effective way to reach net-zero emissions by 2050.
While GTI's installation could be a first for Colorado, the United States is already the world leader in the production of geothermal energy, with plants in seven states producing the equivalent of 0.4% of total utility-scale electricity.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
